Switzerland to provide CHF 600m of solar subsidies in 2023
The AlpinSolar plant in the Glarus Alps, Switzerland. Image source: Axpo (handout)
Switzerland will make CHF 600 million (USD 636.36m/EUR 611.12m) in subsidies available in 2023 to support the expansion of solar power across the country after a projected record photovoltaics (PV) deployment this year.
The funding will be distributed in the form of one-time subsidies for both small and large solar plants as well as subsidies for solar systems without self-consumption.
In 2022, the new solar installations in the Alpine country are expected to hit another record, exceeding by 40% or 50% the level of 2021 when new solar systems with a combined capacity of 700 MW were connected to the grid.
In the first ten months of 2022, applications have been submitted for a one-time subsidy for about 24,000 new photovoltaic systems with a total capacity of 540 MW, up by 50% on the year.
In 2022, a one-time subsidy for small photovoltaic plants (KLEIV) will be distributed for 29,000 systems with a combined capacity of over 400 MW. The subsidies in this category total CHF 150 million.
Around 800 more solar plants with a total capacity of 230 MW will receive a one-time payment for large photovoltaic systems (GREIV) which means that all applications submitted by October 31, 2022 will be funded.
Apart from these two mechanisms, the revision of the Energy Act, which will come into force on January 1, 2023, provides for the introduction of a one-time subsidy (HEIV) for solar systems without self-consumption. The subsidy will cover up to 60% of the costs of the system. For solar installations of 150 kW or more, the subsidy will be awarded by auction. The tenders will be conducted by Pronovo which is in charge of renewables subsidisation in Switzerland.
The financial support provided to solar plants is funded by consumers who have been paying a network surcharge of CHF 0.023 per kWh for the promotion of electricity production from renewable energy, electricity efficiency measures and water quality improvement since January 1, 2018.
Anna is a DACH expert when it comes to covering business news and spotting trends. She has also built a deep understanding of Middle Eastern markets and has helped expand Renewables Now's reach into this hot region.